Top court restores $1M award to N.S. man in constructive dismissal case
Chemist Dave Matthews was awarded damages in 2017 only to have them revoked a year later in Appeal Court
The Supreme Court of Canada has reinstated more than $1 million in damages awarded to a Nova Scotia man who won a constructive dismissal case against his former employer.
Chemist Dave Matthews was an employee of Ocean Nutrition Ltd. — a Dartmouth, N.S., fish oil company — from 1997 until 2011, when he resigned.
He said his resignation was motivated by the company progressively stripping away his responsibilities, eventually leaving him with two hours of work per day.
He argued in Nova Scotia Supreme Court the changes to his position amounted to constructive dismissal. In 2017, a judge ruled in his favour.
Former provincial Supreme Court justice Arthur LeBlanc awarded Matthews more than $1 million, his share of an executive incentive plan paid out when Ocean Nutrition was sold to Dutch multinational Royal DSM for $540 million in 2012.
When the Nova Scotia Court of Appeal reviewed the ruling, it agreed with LeBlanc's assessment that Ocean Nutrition's treatment of Matthews amounted to constructive dismissal, but it overturned the damages.
Following the Appeal Court judgment, Matthews applied to the country's highest court, which agreed last January it would hear the case.
That hearing went ahead this week, and in a decision released Friday, the Supreme Court of Canada set aside the Appeal Court ruling and restored LeBlanc's judgment, including damages.